Hi there! 
We’ve all grown up hearing “Money doesn’t grow on trees.” And while that’s true, what most of us weren’t told is that money does grow when you give it time, discipline, and the right system to grow.
For millions of Indians today, that system is the National Pension System (NPS). It started as a simple, tax-efficient retirement tool, but over the years, it has evolved – and with the latest NPS 3.0 reforms, it’s now more flexible, market-linked, and better aligned with how modern investors think about wealth creation.
And the surprising part is that even a steady ₹10,000 a month can grow into anywhere between ₹3–36 crore over your working life, depending on how much equity you choose and how long you stay invested. To make the most of it, you need to understand the system you’re trusting your money with and why it offers two distinct accounts: Tier I and Tier II.
We’ve handpicked threads on these topics in today’s edition.
TOP THREADS
What’s new in NPS 3.0?
NPS has always been rigid in structure, with limited equity exposure and a long lock-in period, which didn’t exactly excite younger investors. With the new 3.0 changes, NPS gives flexibility in structuring portfolio, including the option to hold…Continue Reading
How NPS builds long-term wealth?
Compounding in NPS works by letting your monthly investments earn returns, which are then reinvested to grow over decades. Since it’s a government-backed retirement savings scheme, it allows you to secure your retirement income by…Continue Reading
What are NPS Tier I and Tier II accounts?
NPS helps to save for retirement while giving you flexibility in how you invest. To manage this, it offers two types of accounts, each serving a different purpose. To choose whether a Tier I or Tier II is more suitable for you, look for…Continue Reading
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FAQs
Can I start NPS at any age?
You can start NPS as early as 18 and continue till 70. Starting early helps you benefit more from compounding.
What’s the minimum investment in NPS?
For Tier I, the minimum contribution is â‚ą500 at the time of account opening and â‚ą1,000 per year to keep it active. And for Tier II, you can start with â‚ą1,000 and add at least â‚ą250 whenever you want after that.
What is the Multiple Scheme Framework (MSF)?
The MSF is a new feature that lets you choose from different, personalized investment schemes like aggressive, balanced, or conservative under the same NPS account (PRAN). You can even split your contributions across these styles based on your goals and comfort with risk.
WHAT’S YOUR ANSWER?
What’s the minimum vesting period under the new MSF schemes?
- 5 years
- 10 years
- 15 years
- 20 years
RESULTS FROM LAST DIGEST
What does a notice under Section 139(9) mean?
A) Scrutiny assessment (19%)
B) Defective return (51%) 
C) Demand notice (20%)
D) Adjustment of refund (10%)
51% of people chose the right answer. Well done!